Interest Charged after PIF...Is that right?

[KnowMoreGrowMore]

Got dinged with an interest fee on my Barclay Rewards CC after I PIF on statement closing date (12/3) with at $400 balance. Made above the minimum payment well before the due date (11/28). Both payments were posted on statement closing date, but with interest. Interest was charged on $1200, which included $1000 for new purchases.

I can possibly understand the statement balance being dinged for interest because Barclays received it on the statement closing date and not the "due date", but I don't understand why I'm getting dinged for interest on any new purchases. What happened to the grace period? Did I lose it because I missed the PIF by the "due date"?  

What am I missing?

Thanks in advance!

[CreditDunce]

You have to PIF before the due date.  Otherwise, you loose your grace period.

I thought you could get back the grace period by PIF for the next two months.  However, I have been told that is only true if you don't use the card for a month.  Otherwise you need to zero out the balance.  

[OmarGB9]

If you carried a balance of even $1, you lose your grace period until you PIF you entire balance (including carried + new charges) and waiting for an entire cycle.

[KnowMoreGrowMore]

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@CreditDunce wrote:

You have to PIF before the due date.  Otherwise, you loose your grace period.

I thought you could get back the grace period by PIF for the next two months.  However, I have been told that is only true if you don't use the card for a month.  Otherwise you need to zero out the balance.  

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Thanks CreditDunce. I think I confused the 'before statement closes/cut' date with the util rate for reporting by the CRAs.

Thanks for clearing this up!

[KnowMoreGrowMore]

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@OmarGB9 wrote:
If you carried a balance of even $1, you lose your grace period until you PIF you entire balance (including carried + new charges) and waiting for an entire cycle.

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Thanks OmarGB9. Giving up the grace period is not the way I wish to go in the future, unless I absolutely have to. If so, I'll be sure to use a lower interest card. Lesson learned! 

Thanks!

[Anonymous]

i thought grace period only applies to mortgages?

[longtimelurker]

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@Anonymous wrote:

i thought grace period only applies to mortgages?

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It has different meanings in various contexts

For a credit card it just means you don't pay interest on purchases providing you PIF before due date (and have done so on previous cycles).

For mortgages it can mean not paying a late fee if you pay up to 15 days after the due date.